J. Sterling Morton HSD 201 J. Sterling Morton HSD 201 FY 19 Budget - PowerPoint PPT Presentation

J. Sterling Morton HSD 201 J. Sterling Morton HSD 201 FY 19 Budget FY 19 Budget 2018-2019 2018-2019 Board of Education Meeting Board of Education Meeting September 12 th , 2018 September 12 th , 2018 Prepared by: Ron O’Connor, CSBO CFO/TREASURER

FY19 Tentative Budget Factors Revenues • Evidence Based Funding • CPPRT (Corporate Personal Property Replacement Tax) Repayment • Grant Allocations • FY17 Qualified School Construction Bonds

FY19 Tentative Budget Factors Expenditures • Evidence Based Funding Intentions • Health insurance renewals • Final grants expenditures • Qualified School Construction Bond expenditures

Typical Sources of Revenues 4% 1% 1% 9% 31% 53% PROPERTY TAXES STATE FEDERAL CPPRT INTEREST OTHER LOCAL FY19 31% 53% 10% 4% 1% 1% NOTE - EXCLUDES: DEBT SERVICE FUND

Financial Factors State aid: • Evidence Based Funding $ 61,610,668 • Note: This is fully funded per the State budget • Other State Aid $3,302,169 • Grants, Transportation are included

Financial Factors • CPI Increase Will be used for the FY19 Budget 2.1% Average for 4 Years 1.425% Average since Tax Cap Legislation 1993- 2017 2.27% • Evidence Based Funding is fully funded per current state budget – How long will this last? • Decrease in CPPRT Funding has occurred

Budgeted Revenues – Operating • Education $83,812,609 • Operations & Maintenance $28,400,983 • Transportation $5,038,389 • Working Cash $80,000 • Total Operating $117,331,981

Budgeted Revenues – Non-Operating • Bond & Interest $12,760,388 • SS/IMRF $4,312,612 • Total Non-Operating $17,073,000

FY19 Types of Expenditures 3% 0% 13% Salaries Employee Benefits 7% Purchased Services 52% 10% Supplies & Materials Capital Outlay Tuition 15% Non-Cap Equipment Other NOTE - EXCLUDES: TRANSFERS AND ON-BEHALF PAYMENT TO TRS NOTE - EXCLUDES: DEBT SERVICE FUND, BOND MONEY

Summary of Major Expenditures/Factors Expenditures/Factors • No Shift of Pension Obligation yet to the local Board of Education from the State of Illinois • Pension Rate for Employer to stay at 0.58% • THIS (TRS Health) Employer Rate 0.92% (0.4% increase) • TRS Federal Grant pension rate 9.85% (0.25% decrease) • Health Insurance is still to be determined (typically 7% per year)

What does Evidence Based Funding Bring to Morton? Position Notes Math and Reading Lab 4 FTE Writing Lab 3 FTE Career Lab Counselor/Testing Coordinator 2 FTE Nurse 2 FTE Dean 1 FTE IT Staff 3 FTE Assistant AD Stipend EL Support/Certified Staff 3 FTE Social Worker 3 FTE Lab Technician 3 FTE Assistant LSS Secretary 1 FTE Athletic Coaches 20 FTE Morton East Enhancements Media Center, Classroom Upgrades 11 Morton West Enhancements Media Center, Freshman Center

Factors Affecting Expenditures • Salaries and benefits account for close to 67% of budget (not including Bond expenditures) • Remaining 33% is spent on supplies and maintenance and improvements to our schools • Unpredictable funding stability in Illinois in the next 1-2 years • Repair and Maintenance of Facilities • Board commitment to increase enhanced learning opportunities for students.

Budgeted Expenditures - Operating • Education $82,923,178 • Operations & Maintenance $24,596,624 • Transportation $3,933,230 Total Operating $111,453,032

Budgeted Expenditures – Non-Operating • Capital Projects $36,477,921 • Health Life Safety $11,566,518 • Bond & Interest $11,756,206 • SS/IMRF $3,495,495 Total Non-Operating $63,296,140

FY19 BUDGET ALL FUNDS – SNAPSHOT REVENUES EXPENDITURES Education $83,812,609 $82,923,178 Operations & $28,400,983 $24,596,624 Maintenance Transportation $5,038,389 $3,933,230 Working Cash $80,000 $0 Total Operating $117,331,981 $111,453,032 SS/IMRF $4,312,612 $3,495,495 Debt Service $12,760,388 $11,756,206 Health Life Safety 0 $11,566,518 Capital Projects 0 $36,477,921 Total Non-Operating $17,073,000 $63,296,140 Total – All funds $134,404,981 $174,749,172

Qualified School Construction Bond Issuance Draw Down Schedule, FY 19 $51,000,000 $50,000,000 $50,000,000 $49,000,000 $48,000,000 $47,000,000 $46,000,000 $45,000,000 $44,303,675 $44,000,000 $43,000,000 $42,000,000 $41,000,000 FY17 Bond Issuance Revenues Expenditures 16

Financial Challenges Revenues • Most Inequitable District in the State • What is NORMAL for the state budget? • Rising insurance costs • CPPRT • Pension Reforms Facilities Needs • Repair, Maintenance

Balanced Budget The District continues to be fiscally responsible even in these uncertain times at the state and federal level. In order to provide the highest quality to our students, we must continue to spend for student success. Our operational costs are balanced.

Major Initiatives in FY 19 • Morton West Freshman Academy • Boiler replacement and improvements at Morton East • Facility study, project maintenance

QUESTIONS?